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Hiding assets vs. dissipating assets: What’s the difference? 

On Behalf of | Apr 28, 2022 | Divorce |

If you’re involved in a contentious divorce, there’s a chance that your spouse does not want you to get what you fairly deserve as the two of you divide your property. They may take many different steps to prevent you from obtaining these assets.

Two of the main ways that people tend to do this are either by hiding assets or dissipating them. These are similar tactics, but they are distinctly different, and it’s important to understand how they work.

Hiding assets

Assets are hidden in many ways, such as transferring them to a third party or simply lying about what assets are owned. If your spouse does this, they are likely hoping that you will not know that those assets are missing from the reports and that you will never know that you missed out and something that you deserved. The court does require full disclosure of all assets, so doing this is illegal, but people will still try it if they think that they can come out ahead.

Dissipating assets

The process of dissipating assets is different because it simply means wasting those assets in advance. You can often find this through paper trails. But your spouse isn’t trying to hide the spending from you. They’re just trying to waste money that otherwise would have been divided. This is their way of getting 100% of the benefit from that money in advance.

If your spouse has been doing either of these things during or prior to your divorce, it’s important that you understand all of the options you have to seek a fair resolution